The Bank of London founder steps down as chief executive

The Bank of London has announced that Anthony Watson is stepping down as chief executive eight years after founding the firm.

The challenger clearing bank, founded in 2016, said Watson would move into a new role as “founder & senior adviser” while remaining as a non-executive director of its holding company, The Bank of London Group. He also remains a shareholder.

Chief risk and compliance officer Stephen Bell has been appointed as the bank’s new CEO, subject to regulatory approval. Bell joined the firm from the British Arab Commercial Bank in 2021.

Watson, a former Barclays executive and the only openly gay CEO in UK banking, launched The Bank of London in 2021 as a purpose-built global clearing, agency and transaction bank.

It was only the second such firm to launch in the UK in 250 years, after fellow start-up ClearBank in 2017.

The Bank of London claims more than 4,500 businesses and clients use its banking products and services.

“Deciding to step back from the role of CEO has been one of the most challenging decisions of my career, but I know it’s the right time after eight years leading the company,” Watson said on Tuesday.

“Founding The Bank of London and seeing it grow into what it is today has been the greatest privilege of my life. This bank is more than just a business to me – it’s a part of who I am. But just as a founder must build, they must also know the right time to pass the torch.”

He added that he had “full confidence” in Bell, whose “leadership, and commitment have been critical to our success”.

According to its most recent accounts, The Bank of London made a pretax loss of £41.8m in 2022, widening from £15.7m the year before.

The firm said its loss reflected “costs incurred in setting up infrastructure and hiring the high-calibre workforce required to develop the global capabilities and banking platform”, including hiring more than 100 people over the year.

Last February, The Bank of London said it had maintained its “unicorn” $1.1bn valuation in a funding round led by Mangrove Capital Partners and 14W Venture Capital. 

Bell commented: “I am deeply grateful to the Board for their confidence in my leadership and to Anthony for his unwavering vision in creating The Bank of London.

“It has been a privilege to be part of the bank’s journey, and I am excited to lead our team as CEO, continuing to build on the solid foundation we have established.”

David Skillen, the firm’s UK chair, added: “On behalf of the board, I want to extend our deepest gratitude to Anthony for his pioneering leadership. He has not only created a different kind of bank but has also laid the foundation for its continued success.

“We are equally excited to welcome Stephen as our new CEO. His extensive experience and deep understanding of the industry have already been pivotal to our achievements.”